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Updated December 20, 2022

Indian Energy Programs at the Department of Energy

Indian energy programs at the Department of Energy
(DOE) are primarily carried out by the Office of Indian
Energy Policy and Programs (IE) and the Loan Programs
Office (LPO). IE funds various activities that assist Indian
tribes and Alaska Native villages with energy development,
energy-related capacity building, reduction of energy costs,
and electrification of tribal lands and homes. LPO provides
loan guarantees and direct lending to Indian tribes for
energy development. Tribes and Alaska Native villages
may be eligible for funding through other DOE programs as
well. An overview of IE and LPO and each program's
legislative and administrative history is provided below.
Indian Energy Program
Section 2606 of the Energy Policy Act of 1992 (P.L. 102-
486, EPACT 1992) authorized DOE to grant financial
assistance to Indian tribal governments. Through legislative
and administrative action, the program has changed over
time. IE provides financial assistance, technical assistance,
and education and capacity building to address barriers to
deployment of energy generation and energy efficiency
projects on tribal lands. IE funding for FY2022 totaled $58
million (P.L. 117-103).
Financial Assistance
Financial Assistance constitutes IE's primary form of
support for energy technology deployment on tribal lands.
Financial Assistance is available for the following types of
energy technology projects: (1) transition tribal colleges
and universities to renewable energy; (2) provide universal
energy access on tribal reservations; (3) transition tribal
reservations to low-carbon energy; and (4) train and build
tribal energy resource capacity skills.
From 2010 through 2022, IE reports its financial assistance
totaled nearly $114 million for more than 200 tribal energy
projects, plus cost-shares by grant recipients totaling over
$80 million.
Technical Assistance
IE technical assistance is intended to help overcome
obstacles or fulfill needs in developing and implementing
tribal energy projects. According to IE, Current projects
funded by DOE grants receive highest priority. Priority will
also be given to tribes that have previously submitted grant
applications, but have not yet received awards. Types of
technical assistance provided by IE include education and
outreach, technical analysis, financial analysis, and strategic
energy planning for tribal energy projects. IE reports that
almost 400 technical assistance requests have been
completed between 2010 and 2022.

Tribal Energy Loan Guarantee Program
Section 503 of the Energy Policy Act of 2005 (P.L. 109-58,
EPACT 2005), among other provisions, authorized DOE to
guarantee up to 90% of loans (including principal and
interest) made to an Indian tribe or a tribal energy
development organization for energy development.
Aggregate outstanding guaranteed loans cannot exceed $2
billion at any time. As with all federal credit programs,
loans guaranteed under this program are statutorily required
to pay a subsidy cost (a share of estimated program-wide
losses) prior to finalizing the loan guarantee agreement.
Subsidy costs can be paid through appropriations, by the
applicant, or a combination thereof. Congress provided
funding to the program in FY2017 including $8.5 million to
be available for loan guarantee subsidy costs. DOE first
issued a solicitation for the Tribal Energy Loan Guarantee
Program (TELGP) in 2018. DOE amended and restated a
solicitation on May 25, 2022, and supplemented the
solicitation on September 30, 2022. Submissions are due by
August 31, 2028. In May 2022, DOE eliminated
application, facility, and maintenance fees related to
TELGP in response to concerns expressed by tribes.
FY2022 appropriations (P.L. 117-103) provided authority
for the Secretary of Energy to provide direct loans through
the Federal Financing Bank via the LPO. This authority was
also granted for funds appropriated previously. P.L. 117-
169, often referred to as the Inflation Reduction Act of
2022, made permanent direct lending authority for TELGP
and eliminated the 90% limit for loan guarantees. This
eligibility was first implemented by an updated solicitation
issued in July 2022 (Section 50145). The law also
appropriated $75 million through September 30, 2028, and
expanded the loan guarantee authority from $2 billion to
$20 billion. At the time of publication, no loans or loan
guarantees have been issued under this program. (For more
details, see CRS Insight IN 11452, Department of Energy
Loan Programs: Tribal Energy Loan Guarantee.)
Legislative History of Indian Energy
Prograrms
Section 2606 of EPACT 1992 authorized DOE to grant
financial assistance to Indian tribal governments for
projects that evaluate or adopt energy efficiency and
renewable energy projects on Indian reservations.
Sections 502 and 503 of EPACT 2005 established IE within
DOE. In addition, EPACT 2005 broadened the DOE tribal
financial assistance program to a wider range of energy
projects. This included a grant program to assist tribes in
meeting energy-related needs, authorizing appropriations of
$20 million annually for FY2006 through FY2016. CRS
estimates approximately $64 million was appropriated
during this period. The Energy Act of 2020 (Division Z of
P.L. 116-260) reauthorized this program for $30 million

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